Network function virtualization (NFV) is intended to implement software of some network functions by using a general high-performance large-capacity server, switch, and storage device. Compared with an original common virtual environment, in an NFV end to end (E2E) architecture, many software instances and management entities are added, such as a virtualized network functions (VNF) instance/entity, a virtualized infrastructure manager (VIM) entity, and a VNF manager entity, so that an NFV environment is more complex than the common virtual environment. A fault reporting and processing method in the common virtual environment cannot be applied to the NFV environment. Therefore, how to perform fault reporting and processing in a complex NFV environment needs to be considered.